Alright, perfect. Thanks.
Good to have that sorted.
Topic: Using BNB for binance fees, when does it become un-profitable? (Read 178 times)
I mean,
say I bought 1 BNB @ 25$.
I use this for fees.
However overnight, the price crashes to just 20$ per BNB.
(So my BNB has depreciated by 20%)
If I continue using that depreciated BNB for fees - that I bought for 25$, now worth 20$ - would I be losing money?
I think I would, I think the 20% depreciation far outways the -0.025% off fees it gives..... but for some reason I can't lay this to rest in my mind.
say I bought 1 BNB @ 25$.
I use this for fees.
However overnight, the price crashes to just 20$ per BNB.
(So my BNB has depreciated by 20%)
If I continue using that depreciated BNB for fees - that I bought for 25$, now worth 20$ - would I be losing money?
I think I would, I think the 20% depreciation far outways the -0.025% off fees it gives..... but for some reason I can't lay this to rest in my mind.
Of course, you are paying via BNB tokens, since the market value of BNB went down, you will be paying more BNB for the fees to cover the fee due in your transaction.
Example: to cover 5$ transaction fee= BNB @25$ = .2 BNB
= BNB @20$ = .25 BNB
This values are just sample, since I am not aware how much does binance fee cost and how do they break down fees using BNB since I haven't use BNB. But logically speaking, this example shows it. Hope this answers your question. I am open for correction if I am wrong.
I mean,
say I bought 1 BNB @ 25$.
I use this for fees.
However overnight, the price crashes to just 20$ per BNB.
(So my BNB has depreciated by 20%)
If I continue using that depreciated BNB for fees - that I bought for 25$, now worth 20$ - would I be losing money?
I think I would, I think the 20% depreciation far outways the -0.025% off fees it gives..... but for some reason I can't lay this to rest in my mind.
say I bought 1 BNB @ 25$.
I use this for fees.
However overnight, the price crashes to just 20$ per BNB.
(So my BNB has depreciated by 20%)
If I continue using that depreciated BNB for fees - that I bought for 25$, now worth 20$ - would I be losing money?
I think I would, I think the 20% depreciation far outways the -0.025% off fees it gives..... but for some reason I can't lay this to rest in my mind.
The coin your trading will be converted first so you will have the fluctuation but is updates every second. You can check it out here for more information. https://support.binance.com/hc/en-us/articles/115000583311
Hi,
For a while I've been trading at Binance without using BNB as I can't figure out the maths.
At what point does continuing to use BNB for fees start to incur losses if it begins depreciating against the price you bought it at?
So BNB gives you -0.0250% off trading fees.
What happens if BNB loses 10% of it's value, so you bought it at 25, then it went down to 22.5.
How much fee reduction are you now getting?
is it 0.0225% or are you now selling at a loss everytime you use it until it's no longer underwater?
so confused for months on this..
For a while I've been trading at Binance without using BNB as I can't figure out the maths.
At what point does continuing to use BNB for fees start to incur losses if it begins depreciating against the price you bought it at?
So BNB gives you -0.0250% off trading fees.
What happens if BNB loses 10% of it's value, so you bought it at 25, then it went down to 22.5.
How much fee reduction are you now getting?
is it 0.0225% or are you now selling at a loss everytime you use it until it's no longer underwater?
so confused for months on this..
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